Your future is full of possibilities. Let's help you get there with a great savings account.There's no better time to plan for retirement and secure your future in Baltimore, Maryland or elsewhere than with the help of a MECU Individual Retirement Account (IRA) or Education Savings Account.
Decisions you make today can help secure your financial futureAn Individual Retirement Account (IRA) is one of the easiest ways to save for retirement.
At MECU, we're here to help every step of the way.
|Overview||Traditional IRA||Roth IRA|
|Maximum Contribution Amount per Year||Contribute up to $6,000 a year in 2022 ($7,000 max if over age of 50)||Contribute up to $6,000 a year in 2022 ($7,000 max if over age of 50)|
|Tax Benefits||Annual contributions may be tax-deductible||Investment interest and dividends grow tax-free; withdraws are not taxed*|
|Required Minimum Distributions (RMDs)||Must take annual distributions beginning at age 72||No mandatory distribution age|
|Early Withdraw Penalties||Early withdraws (before age 59 ½) incur 10% tax penalty in many instances||No early withdraw penalties in many instances for higher education or purchase of first home*|
Education Savings Account
An Education Savings Account is an effective, tax-free way to save for college.
- Contribute up to $2,000 per, year per child
- Use money for tuition, fees, books, supplies, and, in some cases room and board
- Earnings and withdrawals are often tax-free*
- Earn interest on deposits